I need your thoughts (Current O/O)

Check the OOIDA website. They have a good business plan and can answer your questions.

 

1. Depends on credit rating
2. Do not get caught up in the brand of truck what is under the hood is more important
3. Depends MPG and how much you run I figure 80 cents but I run more or else local {100 miles radius}
4. Nope I do not like how most drivers drive
5. I use Progressive.
6. You run Florida best get good rates cause the air coming back is cheap
7. No way
8. I do not know how they do it

 

I think you can do way better than 10k for insurance, if your driving record is clean. Shop around.

Also, rocks are an exempt commodity. You could become a carrier of exempt commodities, thus avoiding the need for operating authority, thus avoiding the insurance filings that go with an MC #, and just get commercial insurance. Lots cheaper. After a few years your premiums will be easier to swallow if you then go ahead with being a common carrier.

 

#7. Rates will only increase for those who properly leverage their services. For the vast majority who don't do this rates will always remain flat.

#8. $1.75 sounds good compared to 98 cents plus surcharge but the truth is for most single truck operations that's a break even average if that. Those who do not sweep some costs under the rug understand that. Those who do will argue. Figure your true cost to roll down the highway, everything, including your living wage to cover all household expenses and every conceivable cost. Doesn't matter if it's not a business expense it's still a cost you have to cover when you're just a single truck. Now multiply that cost per mile by .8 to give you the rate per mile you need to average to make 20% above your cost. Or .75 or whatever your profit goal. Understand if that number is $2.15 or $2.30 or whatever it is to make a 20% profit that RATES of $2.15 or $2.30 are not the kind you need to be accepting on a regular basis to AVERAGE that profitable number.

 

Dude you are all over the place.

1. Do you want a semi or a dump truck? Make up your mind. Then go from there.
2. Something pre emission, a truck that either has NO DPF or if you must have emissions or want/need a newer truck, something that also takes DEF. The DPF only trucks were mostly a failure. If you don't need to meet emissions, then don't bother with them. Something powered with a Cummins or Detroit - they have more abundant shops and they seem to know what they are doing. I would not buy anything with a manufacturer engine (maybe Volvo) - such as the maxxforce or the paccar mx. Search threads on here for info on those motors.
3. Your fuel bill will have more to do with what type of work you intend to do - which will dictate which type of truck you should buy. If you buy a 600 horse pete to haul local cans around, your fuel bill just might be more than the guy who bought that cascadia who is doing long haul. Again, you need a more solid business plan/model.
4. Do it yourself first, you just plain don't have enough capital to hire a driver yet. When the numbers look good enough from your own driving, revisit this and work the numbers again. They will be different from you paying yourself vs. you paying someone else to drive.
5,6,7,8. Are you planning to run your own authority? Or sign up for one of those .98+ fuel deals? An owner op would not survive on that deal if the company was not paying their insurance, licencing, ifta, all of that extra stuff. Some people will argue that they are making money, to each their own, I guess. If you plan to go your own authority, yes, your first year of insurance will be expensive. It will depend on your driving record, where you plan to operate, value of your trucks/trailers/cargo hauled. Get lots of quotes, it could be anywhere as low as 7,500 to 25,000 (ballpark figures). As far as not leaving too far from the house - that may be difficult - as a business owner you now need to decide if that high dollar load is worth you being away from home for a little longer. If you could make enough in one month to take the next month off, but would never see the house, would you do it? These are the decisions you will have to make. At least you are in a busy freight lane. There is no such thing as a driver shortage. You can believe that when you go to the store and the owner tells you he couldn't find a driver to bring his product to the market. REMEMBER - IT ALL STILL GETS DONE! The only difference is at what price it gets done for.

 

"There is no such thing as a driver shortage."

Thank you gokiddogo. That's exactly right on. There are just fewer people who want to ##### themselves out to cheap freight low pay jobs with mountains of regulations. Fewer, but enough. You have to do what those outfits don't or can't.

 

QUOTE:>>"There is no such thing as a driver shortage."

This has been a total BS line for many years used by mega fleets to hire empty skulls thinking they will make great money from day 1.